US beef and pork exports in July were higher than a year ago, according to data from the USDA and compiled by the Livestock Marketing Information Center.
The data from the USDA’s Economic Research Service and the Foreign Agriculture Service showed exported values were mixed with beef posting another near-record month while pork export value declined, reflecting the effects of retaliatory tariffs imposed by Mexico and China, the USMEF said in a release.
BEEF EXPORTS CLIMB 12%
“Led by another spectacular performance in South Korea and strong growth in Japan, Taiwan and Latin America, July beef exports climbed 12% in volume to 116.575 tonnes, valued at $722.040 million, up 16% from a year ago and just slightly below the May 2018 record of $722.1 million,” the USMEF said. “For January through July, beef exports established a record pace in … volume 779.450 tonnes, up 10% year-over-year) and value ($4.76 billion, up 20%).”
July beef and beef variety meat exports accounted for 14% of total beef production and 11.8% for muscle cuts only, the highest since December of 2016, each up nearly a full percentage point from a year ago, the USMEF said. For January through July, exports accounted or 13.5% of total beef production and 11.1% for muscle cuts, up from 12.8% and 10.1%, respectively, last year.
Beef export value averaged $326.18 per head of fed slaughter in July, up 9% from a year ago, the USMEF said. Through July, per-head export value was up 16% to $318.31.
PORK EXPORT VOLUMES UP, VALUES DOWN
July pork exports totaled 176.413 tonnes, up 1.5% from a year ago, valued at $465.3 million, down 5% year-over-year and the lowest monthly value since February 2016, the USMEF said. For the first seven months of the year, US pork exports remained 2% ahead of last year’s record volume pace at 1.45 million tonnes, while value was up 3% to $3.83 billion.
USMEF president and CEO Dan Halstrom said in the release that the 20% duty in Mexico and 62% duty in China weighed heavily on the price of US exports to these countries.
“Buyers outside of Mexico and China have stepped up to purchase our product, which is fantastic,” Halstrom said. “But they are capitalizing on a buying opportunity made possible by the higher costs of doing business in Mexico and China.”
July pork exports accounted for 24.7% of total pork production and 21.7% for muscle cuts only, down from 25.9% and 21.3%, respectively, last year, the USMEF said. For January through July, the percentage of total pork production exported fell from 27.5% to 27%, but for muscle cuts, the percentage increased from 22.8% to 23.3%.
July pork export value averaged $48.49 per head slaughtered, down 11% from 2017.
CATTLE, BEEF RECAP
No fed cattle sold Wednesday on the Livestock Exchange Video Auction, compared with 280 that traded two weeks previous at $109.50 per cwt.
Cash cattle traded last week at $107 to $108 per cwt on a live basis, unchanged from the previous week, and at $168 to $170 on a dressed basis, also unchanged.
The USDA choice cutout Monday was down $0.26 per cwt at $206.30, while select was up $1.84 at $198.93. The choice/select spread narrowed to $7.37 from $9.47 with 70 loads of fabricated product sold into the spot market.
The CME Feeder Cattle index for the seven days ended Friday, was $152.64 per cwt, up $1.32. This compares with Monday’s Sep settlement of $152.52, down $0.45.